Pre-Hiring Steps Too Many Companies Skip

by | Dec 3, 2020

Congratulations! You’re in hiring mode.

And that probably means things are going well for you and your business. But before that job posting goes up, let’s make sure your hiring plans lead you to even greater success.

For most business owners, the cycle is the same. Things get busier, they need more bodies to handle the work, so they hire more people.

Few companies will take the time to step back and consider their real needs.

Let me give you an example…

Several years ago, a small real estate agency was struggling to make ends meet. The market was tough and this particular area was oversaturated with RE agents as it was.

To stay afloat, this agency went into hiring mode – hiring as many real estate agents as they could. They figured…the more agents they had, the more houses they would sell. But that wasn’t the case. Agents came and went quickly. And the influx of agents caused the company’s highest producers to leave.

With the last $20,000 this agency could borrow, they invested in some aggressive marketing strategie. 3 years later, they were dominating the market. And agents were clamoring (with very little luck) to work for them.

Every once in a while, hiring more bodies is not the answer. Or…it is the answer, but you need to know which positions/people make the most sense to hire.

Here are some ideas to explore – prior to kicking off the hiring process.

Determine What You Really Need

Oftentimes, hiring seems like the right solution. You have more on your plate than you can handle. Your team is overwhelmed, and you want someone to take off the pressure.

But there are other ways to do that.

Ask yourself…

Do we have the right systems in place?

Systems are a big deal at Elite Entrepreneurs. We’re fans of “E-myth”. We’re fans of sustainability. And we’ve seen what happens when companies get their processes dialed in. Which is why our first suggestion is to look at your systems.

Do you need more sales people? Or do you need an automated marketing system to warm up your existing leads?

Do you need another manager? Or do you need an accountability system for your team?

Do you need another coach/consultant? Or do you need to fix your onboarding experience?

Systems give you leverage. Yes…as you grow you will need more employees. But it’s better to get your systems working first. Then, as you hire, you’ll be hiring for the work that can’t be done through automation or processes. You’ll hire only the people you really need.

Do we need a new employee or is this something we can outsource?

As business owners, we wear a lot of hats. And for a while, our employees will also wear a lot of hats. But jumping from one activity to another impedes our ability to accomplish work quickly.

Because we can’t specialize in everything. And we can’t give every task our undivided attention.

Depending on what stage your business is in, sometimes the better “hire” is to outsource. It’s certainly going to save you time. It will likely save you money. (Because you’re not paying employee overhead.)

Again, depending on the stage your business is in, here are a few positions you might consider outsourcing:

  • Accounting and tax services
  • Virtual assistants
  • Fulfillment services
  • Social media management

Let’s say, hypothetically, you have a budget of $75,000 a year for a new hire. You could get one skilled person to fill one of your needs. Or…you could outsource 2-3 positions, saving your business some money until you’re ready to fill more roles in-house.

Do we have the right people on board?

A team that fits your culture and is dedicated to your success can work magic. If you have that kind of team, consider yourself lucky! If you have that kind of team, and you still have a need to hire, you are doubly fortunate.

However, for a lot of companies, hiring new employees is a way to compensate for what current employees are not accomplishing.

Do you have employees who:

  • Are lazy?
  • Create drama?
  • Counteract your company culture?
  • Aren’t skilled enough to handle their current responsibilities?

While this may sound counterintuitive, maybe what you really need is to fire someone. Or fire and then hire.

Because the cost of “bad” or “misfit” employees may be less production from your entire team. (Which is a topic we covered, in detail, last week.)

Perhaps, you have a great employee, one who matches your company culture…but that employee doesn’t have the skills or training to fill their current role. In that case, see if you can repurpose them. You don’t want to lose a great employee. And you may find they fit another role perfectly.

But don’t let a hiring need mask the real challenge in your business. Make sure you’re hiring because you’ve simply grown that much.

Review Your Purpose, Values, and Mission

This is where we discuss quality versus quantity.

In nearly every business, opportunities to make money arise that the business owner may have never anticipated. However, in an effort to grow, those business owners often:

  • Accept needy clients who demand too much and pay too little
  • Produce a product or service they never intended to create
  • Become distracted by shiny object syndrome
  • Promise more than they want to fulfil

Basically, they get off track. Yes, the money is coming in. But at what cost?

Growth for growth’s sake is rarely worth the effort. If you’re about to hire for a position you never intended to fill, it might be time to revisit your Purpose, Values, and Mission.

Are you on track to reach your goals? Or are you hiring for a business that is slowly losing the path you laid for it?

Set Up Your Org Chart

Speaking of laying a path for your business…have you set up an org chart yet?

Undoubtedly, you know. But an organizational chart represents the people in your organization and the role they fill. It shows the path of progression for your employees. And helps employees to figure out who to report to or contact with questions.

When created correctly, that chart not only represents your current team, it also outlines the positions you anticipate hiring as you grow even more.

With your org chart created, you can expect:

  • Employee responsibilities to be clearly defined
  • To identify roles not being fulfilled by other employees
  • Processes to become better defined

And ultimately, who you need to hire next. Because undoubtedly, you have several roles you’d like to fill right now. Wouldn’t it be nice to know the best, next hire?

Once you make the decision to hire again, you’re anxious to get it done. But if you take the time to slow down and really evaluate what you need, you will be more effective in hiring the best person to fill a specific role.

If hiring overwhelms you in any way, then let’s connect. We help you make decisions that create an easier, more effective hiring process for your business.

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